Liquidity Cushion

Finance allah shmoop What is liquid market Well it's one

that trades Ah lot High volume Lots of buyers Lots

of sellers Liquid lots of cash sloshing this way In

that way Go this way and that Did you ever

see a liquid market go this way and that That

little song Did you ever see a lassie Never mind

All right Weir Liquid markets Good Well because they implied

there's Lots of cash ready willing and able to be

put to work And that's usually a sign of a

healthy risk seeking active market versus risk averse one which

is you know hiding Ah liquid market means that investors

want to put their cash toe work that they have

actually saved cash along the way and or that they

have relatively easy access to credit And you can think

about it from the perspective of your kindly loving realtor

who wants a world where lots of people are buying

homes But in orderto have that happen you have to

have lots of people who are also selling homes at

the same time Otherwise prices just go higher and higher

with no supply to meet demand And at the end

of the day in real estate and it's in the

stock market while the most important thing yes that the

brokers get pays So that's a liquid market one that

trades a lot like it's Wet trading back and for

sloshing around not ice Where everything's you know all jammed 00:01:22.109 --> [endTime] up No needs heat or an animal or something